New York Approves New Energy Rates for Cryptocurreny Miners

New York Approves New Energy Rates for Cryptocurreny Miners

The New York Public service commission has approved new electricity rates for the Massena Municipal Electric Department to be effective from July 17. The revised tariff plan will allow crypto miners and other high-density load customers to qualify for service under an individual service agreement. According to the official announcement, the individual service agreement

The revised tariff plan will allow crypto miners and other high-density load customers to qualify for service under an individual service agreement.

According to the official announcement, the individual service agreement tariff includes provisions that will protect existing customers from increased supply costs resulting from the new service.

“As part of our continuing effort to balance the needs of existing customers with the need to attract new companies, we must ensure that business customers pay a fair price for the electricity that they consume,” said Commission Chair John B. Rhodes. “However, given the abundance of low-cost electricity in Upstate New York, there is an opportunity to serve the needs of existing customers and to encourage economic development in the region.”

The new rule states that cryptocurrency customers and other high-density-load customers will be eligible for service under an individual service agreement if their maximum demand exceeds 300 kW, and the customer provides benefits to the utility.

“..The potential exists for Massena to receive significant revenues if new cryptocurrency companies set up shop in the community. If that were to occur, the utility would be required to defer the revenues for the benefit of ratepayers,” the announcement read.

Earlier in March, the commission had allowed upstate municipal power authorities to charge higher electricity rates to cryptocurrency companies.

The announcements follow a petition filed by the New York Municipal Power Agency (NYMPA) regarding concerns that high-density load customers, such as cryptocurrency companies, were having a negative impact on local power supplies.